SAGA says......

Graham_Devon

Kennyboy66 wrote: »

The £216 is net income after housing costs.

I'm presuming that the £515 is a median full time worker gross income before housing costs.

Pensioners really have never had it so good.

You are correct.

Make it £247.

The point about percentages stands really.

If a person on £247 a week gets a 15% rise, they get £37 extra in their pocket, which they can buy an extra 24 pints of milk with.

If a person on £515 a week gets a 15% rise, they get £77 extra in their pocket, which they can buy an extra 51 pints of milk with.

Percentages are often a crude, and misleading comparison.

Loughton_Monkey

HAMISH_MCTAVISH wrote: »

.......So please raise interest rates so we can effect an even bigger transfer of wealth from young people to old, and us SAGA members can be EVEN MORE well off than we are now.......

There's not a lot needed to ensure that us oldies are gaining ground on the youngsters. The young are committing financial suicide perfectly well on their own, thank them very much......

We owe it to the young NOT to pass our wealth onto them. Leave it to the Dog's home or RSPCA. Do not leave a penny to young humans.

I have, however, a favourite Nephew who I have started up in business. He has bought a large plot of land. You can buy those old [made in China] containers used to ship all our imported goods from China. You can get them for £29 max these days.

He is buying these, and piling them up. Building cheap plywood internal partitions (like stables). Small toilet/shower at one end. Sink and gaz camping cooker the other end. Four 'units' in the middle.

These will become 'homes' for today's young people when they retire. £100 a month. That's £400 a month per container. With 'conversion' costs that's £4K clear profit annually per container.

Let's go!

ILW

Why is it such a surprise that older people tend to have more wealth than younger ones. They have just had more time to attain it. It's how it should be.

DexterA

DexterA wrote: »

Hamish makes a personal appearance 50 seconds in.

http://www.youtube.com/watch?v=bIHF4rVTK4E

Bumped for the Hamish appearance. The motorbiking enthusiast who's hiding from Saga.

robmatic

Jimmy_31 wrote: »

What about the young people with savings, wouldnt they benefit from an interest rate rise.

Young people should have investments rather than savings.

mcc100

HAMISH_MCTAVISH wrote: »

We'd like to distract attention from the fact that pensioners are 47% better off in real terms than they were a decade ago.

And that pensioners income has risen by 3 times as much as working people's earnings in the last decade

http://www.dwp.gov.uk/docs/dwp048-11.pdf

So please raise interest rates so we can effect an even bigger transfer of wealth from young people to old, and us SAGA members can be EVEN MORE well off than we are now.

Thanks....

SAGA

https://forums.moneysavingexpert.com/discussion/3225514

Why start a new thread when this topic has already been covered ?????

Really2

Graham_Devon wrote: »

You are correct.

Make it £247.

The point about percentages stands really.

If a person on £247 a week gets a 15% rise, they get £37 extra in their pocket, which they can buy an extra 24 pints of milk with.

If a person on £515 a week gets a 15% rise, they get £77 extra in their pocket, which they can buy an extra 51 pints of milk with.

Percentages are often a crude, and misleading comparison.

Do that the other way around and you will see how inflation without wage inflation (even though pensioners get CPI) erodes disposable income.

Graham_Devon

Really2 wrote: »

Do that the other way around and you will see how inflation without wage inflation (even though pensioners get CPI) erodes disposable income.

I already know inflation without wage inflation erodes disposable income.

It's been one of my arguments for the past year!! Especially in response to "people paid 5% on their mortgages in 2007, makes absolutely no difference now".

ILW

So, is high inflation a good or bad thing?

Really2

Graham_Devon wrote: »

I already know inflation without wage inflation erodes disposable income.

It's been one of my arguments for the past year!! Especially in response to "people paid 5% on their mortgages in 2007, makes absolutely no difference now".

So why do you think rates need to go up to fight the current inflation?